For investors who want to increase the yield/income from their concentrated equity positions or broad based portfolios, ARA can customize a yield enhancement program through put and call option selling programs. Additionally, ARA has developed proprietary strategies to provide yield enhancement on what are otherwise passive assets.

PROCESS

  • Profile the client’s investment objectives and risk tolerance
  • Establish a risk-return ratio that meets the client’s objectives
  • Determine what level of potential return can be generated over a sustainable period
  • Monitor and reconsider as markets, tax rules, and client views change

Theta Strategy

An example of this program is the ARA Theta Strategy (“Theta”), a relative return, US Large Cap offering. Theta is an actively managed cash flow augmentation program combining a long equity portfolio and an enhanced buy-write options methodology.